DCI - the EU’s financing instrument for development cooperation (2014-20)

Through its Development Cooperation Instrument, the European Union aims to reduce poverty in developing countries, as well as to promote sustainable economic, social and environmental development, democracy, the rule of law, human rights and good governance.

ACT

Regulation (EU) No 233/2014 of the European Parliament and of the Council of 11 March 2014 establishing a financing instrument for development cooperation for the period 2014-20.

SUMMARY

In accordance with its policy outlined in the paper ‘An agenda for change’, the EU seeks to target its development cooperation funding where it will have most impact. Priority goes to countries in greatest need: the least-developed countries in terms of their low gross national income and their weak human assets, those in crisis or post-crisis situations and those that are fragile or vulnerable. The EU operates a differentiated approach in response to the needs, capacities and performance of partner countries.

The EU’s Development Cooperation Instrument (DCI) comprises the following.

• 1

  Geographic programmes - These support bilateral and regional cooperation programmes in areas such as essential needs (health and education), employment, infrastructure, human rights, democracy, good governance and sustainable development. These cover developing countries in Asia, Central Asia, the Middle East and Latin America, as well as South Africa.

• 2
  Thematic programmes - These fall into two groups, as follows:

  • Global public goods and challenges: this covers aspects such as climate change, environment, energy, human development, food security and migration while ensuring coherence with the poverty reduction objective. 27 % of this programme will be spent on climate change and environmental objectives and at least 25 % of the programme will support social inclusion and human development.
  • Civil society organisations and local authorities: this programme will encourage civil society (i.e. non-state actors, non-governmental organisations (NGOs) and citizens’ organisations) and local authorities to play a greater role in development strategies.

• 3

  Pan-African programme - In addition to the above programmes, by means of a new pan-African programme the DCI will support the EU’s strategic partnership with Africa. This programme will complement other financing instruments that are used in Africa, such as the European Development Fund and the European Neighbourhood Instrument. Activities under this programme will be of a transregional, continental or global nature.

Budget

With a budget of over €19.6 billion (current prices) for the 2014-20 period, the DCI covers all developing countries.

RELATED ACT

Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions: Increasing the impact of EU development policy: an agenda for change (COM(2011) 637 final of 13 October 2011).

last update 18.06.2014